Key Points
- The New Zealand Dollar started a downside correction from the 0.6994 high against the US Dollar.
- There is a major bullish trend line forming with current support at 0.6905 on the hourly chart of NZDUSD.
- Recently in New Zealand, the Electronic Card Retail Sales report for Oct 2017 was reported by Statistics New Zealand.
- The outcome was below the forecast of +0.6% as there was an increase of only 0.3%.
NZDUSD Technical Analysis
The New Zealand Dollar remains in a decent uptrend and it recently traded as high as 0.6994 against the US Dollar. The NZDUSD pair later started a downside move and traded below the 38.2% Fib retracement level of the last wave from the 0.6875 low to 0.6964 high, and the 21 hourly simple moving average.
However, there is a major bullish trend line forming with current support at 0.6905 on the hourly chart. Moreover, the 61.8% Fib retracement level of the last wave from the 0.6875 low to 0.6964 high is also near 0.6909.
Therefore, as long as the pair is above the 0.6900 handle, there are chances of it moving back higher in the near term.
New Zealand Electronic Card Retail Sales
Recently in New Zealand, the Electronic Card Retail Sales report for Oct 2017 was reported by Statistics New Zealand. The market was positioned for the Electronic Card Retail Sales to increase by around 0.6% compared with the previous month.
The actual result was below the forecast of +0.6% as there was an increase of only 0.3%. In terms of the yearly change, the market was looking for an increase of 2%, but the actual was only +1.2%. The report stated that:
People spent more eating out in October 2017, with the hospitality industry up $15 million. This helped nudge retail card spending up 0.3 percent in the month, when adjusted for seasonal effects.
Overall, the NZDUSD pair might continue to hold the 0.6900 support zone and it is likely to move back higher.
